Frequently Asked Questions

What are the rates and terms?

As a Private Direct Lender using our own cash, rates are very competitive and start at 9.75%.  Click Rate Sheet.

Is there a prepayment penalty?

No.  There is no prepayment penalty nor any other type of payoff fee or hidden exit fee when loan is paid off, no matter how early.

Are there any other fees besides the Lender fees?

Yes, the third-party fees are title, appraisal, and legal.

Are loans recourse or non-recourse?

Our loans are “recourse” but recourse can be waived in certain circumstances.

What property types are considered?

Most commercial and investment real estate, including raw land, vacant buildings, mixed use, special use, multi-family, office, restaurants, retail, hotel/motels, medical, auto repair, etc.

Do you offer construction loans?

Yes.  The minimum loan amount for construction loans is $500,000.

Is collateral other than real estate accepted?

We fund only loans secured by real estate.

Is 100% acquisition financing offered?

We do not offer traditional 100% acquisition financing, but have done so non-traditionally through cross collateralization and lease-options or other situations that just make sense.

What type of income verification is required?

None.  Borrower states income on loan application and provides financial statements and rent roll (if applicable) for support. Properties do not need to cash flow.

Why are the interest rates higher than bank rates?

We quickly close loans with our own cash, which has a higher opportunity cost to us than banks pay for their funds.  Your cost of money is more expensive than a bank but much cheaper than a partner or lost opportunity.